The following Personal Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:
Residence is one of the key factors you should consider when deciding whether, or to what extent, an individual is liable to tax in the UK. From 6 April 2013, an individual’s residence status is determined using the statutory residence test (also known as the SRT).
This guidance note covers the definitions which are important for the statutory residence test and includes references to the HMRC guidance on the test in RDRM11000 onwards (which was published in RDR3 prior to August 2019).
There were a number of changes to the statutory residence test that were introduced by FA 2020 due to the coronavirus (COVID-19) pandemic. These are discussed in context below and in the other statutory residence test guidance notes, but for a discussion of all the changes introduced, see the FA 2020 ― changes to the statutory residence test [updated] news item.
The definitions are also important in deciding whether the individual qualifies for split year treatment. See the Residence ― issues on coming to the UK (2013/14 onwards) and Residence ― issues on leaving the UK (2013/14 onwards) guidance notes.
To summarise, the individual will be:
UK resident if:
any of the automatic UK tests are met and none of the automatic overseas tests are met, or
none of the automatic UK tests are met, none of the automatic overseas tests are met but the sufficient ties test is met
UK non-resident if:
any of the automatic overseas tests are met, or
none of the automatic UK tests are met, none of the automatic overseas tests are met and the sufficient ties test is not met
Note that the conditions of the tests are modified for those who work on ships, planes or lorries. These people were known as ‘international transport workers’ under previous draft versions of the legislation, but are referred to in FA 2013, Sch 45 as people with a ‘relevant job’ on board a vehicle, aircraft or ship.
These tests and the rules on people
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